FOMC

--50 bps cut --economic growth was moderate during the first half of the year, but the tightening of credit conditions has the potential to intensify the housing correction and to restrain economic growth more generally. The (rate cut) action is intended to help forestall some of the adverse effects on the broader economy that might otherwise arise from the disruptions in financial markets and to promote moderate growth over time --readings on core inflation has improved modestly this year --development in the financial markets since the committee's last regular meeting has increased the uncertainty surrounding in economic outlook.